Deutsche Bank AG , Germany’s largest bank by assets, said profit at its Indian operations increased 25% to Rs. 1,033 crore in fiscal 2012-13 led by a 78% rise in advances to Rs. 22,374 crore from Rs. 12,549 crore in 2011-12. (Also read: Finance and Banking industry overview)

This was “mainly due to increased lending in the wholesale and retail businesses”, the bank said in a statement.

Total income increased 15% to Rs.3,639 crore from Rs.3,151 crore in 2011-12.

The bank infused Rs.1,060 crore in its Indian businesses in 2012-13, its sixth infusion since 2007, and the bank’s capital base now stands at over Rs.7,000 crore. Return on assets improved to 2.98% from 2.58% in 2011-12.

Deutsche Bank in India has businesses such as equity broking, asset management, primary dealerships, corporate finance and a non-banking financial company. The results of these are related to the bank’s banking business, Deutsche said in an emailed statement. (Also read: ICICI Prudential PMS charts exits, closes first deal from new fund)

The bank has 17 branches in India.

“The bank achieved a tight cost-to-income ratio of 38% and net NPA (non-performing assets)/net advances ratio of 0.13% with a provision coverage ratio of 81%. This reflects the excellent risk and cost culture within the organization that goes hand-in-hand with our strong growth ambitions,” Ravneet Gill, chief executive officer, Deutsche Bank India, said in the statement. Cost to income was 41% in 2011-12.

Net NPAs stood at 0.09% of net advances as of 31 March 2012. Profits were helped by a 10% rise in net interest income (NII) to Rs.1,996 crore from Rs.1,808 crore in 2011-12.

“The net interest income comprises approximately 70% of the total revenues. Advances have risen following an increased focus on our global transaction banking and our retail banking businesses,” chief financial officer Avinash Prabhu said on the phone.

The bank’s global transaction business consists of loans to companies while retail banking mostly comprises loans to individuals and small businesses, which are mostly secured through property or real estate.

Besides interest income, India profits were also helped by higher income from the trading business that rose almost five times to Rs.365 crore from Rs.77 crore in 2011-12.

Deutsche Bank has a large interest-rate trading and foreign exchange business in India that takes bets on local interest rate and forex movements.

The bank had shrunk its asset book—loans and investments—in 2011-12. However, the results released on Monday showed that total assets had increased 41% to Rs.40,492 crore, indicating that the bank’s consolidation phase is over.

“Our strategy in these challenging times is to increase revenues through a judicious allocation of resources while optimizing our costs, and improving our cost to income ratio,” Prabhu said.